To repeal the sunset of the Economic Growth and Tax Relief
Reconciliation Act of 2001 with respect to the expansion of the adoption
credit and adoption assistance programs, to repeal the sunset of the
Patient Protection and Affordable Care Act with respect to increased
dollar limitations for such credit and programs, and to allow the adoption
credit to be claimed in the year expenses are incurred, regardless of
when the adoption becomes final.

IN THE SENATE OF THE UNITED STATES

January 25 (legislative day, January 5), 2011

Mr. JOHANNS (for himself, Ms. KLOBUCHAR, Mrs. HUTCHISON, Mr. BURR,
Mr. CASEY, and Mr. THUNE) introduced the following bill; which was read
twice and referred to the Committee on Finance

A BILL

To repeal the sunset of the Economic Growth and Tax Relief
Reconciliation Act of 2001 with respect to the expansion of the adoption
credit and adoption assistance programs, to repeal the sunset of the
Patient Protection and Affordable Care Act with respect to increased
dollar limitations for such credit and programs, and to allow the adoption
credit to be claimed in the year expenses are incurred, regardless of
when the adoption becomes final.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Adoption Tax Relief Guarantee Act'.

SEC. 2. REPEAL OF APPLICABILITY OF SUNSET OF THE ECONOMIC GROWTH AND
TAX RELIEF RECONCILIATION ACT OF 2001 WITH RESPECT TO ADOPTION CREDIT
AND ADOPTION ASSISTANCE PROGRAMS.

Section 901 of the Economic Growth and Tax Relief Reconciliation Act
of 2001 is amended by adding at the end the following new subsection:

`(c) Exception- Subsection (a) shall not apply to the amendments made
by section 202 (relating to expansion of adoption credit and adoption
assistance programs).'.

SEC. 3. REPEAL OF APPLICABILITY OF SUNSET OF THE PATIENT PROTECTION
AND AFFORDABLE CARE ACT WITH RESPECT TO INCREASED DOLLAR LIMITATIONS.

(a) In General- Section 10909(c) of the Patient Protection and Affordable
Care Act, as amended by section 101(b) of the Tax Relief, Unemployment
Insurance Reauthorization, and Job Creation Act of 2010, is amended
by striking `this section' and inserting `subsection (b)' each place
it appears.

(b) Conforming Amendment- The heading for section 10909(c) of such Act
is amended by inserting `Relating to Refundability' after `sunset provision'.

SEC. 4. ALLOWANCE OF ADOPTION CREDIT IN YEAR OF EXPENSES.

(a) Years Before 2012-

(1) IN GENERAL- Paragraph (2) of section 36C(a) of the Internal Revenue
Code of 1986 (relating to allowance of credit) is amended to read
as follows:

`(2) YEAR CREDIT ALLOWED- The credit under paragraph (1) with respect
to any expense shall be allowed for the taxable year in which such
expense is paid or incurred.'.

(2) EFFECTIVE DATE- The amendment made by this subsection shall apply
to expenses paid or incurred in taxable years beginning after December
31, 2010.

(b) Years After 2011-

(1) IN GENERAL- Paragraph (2) of section 23(a) of the Internal Revenue
Code of 1986 (relating to allowance of credit), as in effect after
the application of section 10909(c) of the Patient Protection and
Affordable Care Act, is amended to read as follows:

`(2) YEAR CREDIT ALLOWED- The credit under paragraph (1) with respect
to any expense shall be allowed for the taxable year in which such
expense is paid or incurred.'.

(2) EFFECTIVE DATE- The amendment made by this subsection shall apply
to expenses paid or incurred in taxable years beginning after December
31, 2011.